What you want out of life and what you get largely depends on how you view, approach and think about life.
Investing and wealth creation needs to be approached the same way if you want to be successful and achieve your goals.
The first step is to work out where you want to go, before you work out how to get here.
One of the simple facts of our economy is that not everyone can be wealthy. There will always be a divide.
Which side you are on depends on you and how you think about wealth.
One dimensional thinking:
“I want to be wealthy.”
I would be hard press to find anyone who does not think this way. But the truth is this is as far a many people get. It is more of a wish then a plan.
Two dimensional thinking:
“I do not want to be poor. I want to be wealthy.”
The next stage for many is to identify what they do not want to be. In this case, it is poor. At this stage you are starting to add substance to forming a goal. Unfortunately, the goal is more focused on what you do not want to be instead on what you want to achieve.
Three dimensional thinking:
“I do not want to be poor. I want to be wealthy. I want to be wealthy by the time I am 60.”
The third stage confirms your end result. Provides a focus on what you want to achieve. Gives you a time frame to achieve this goal. This might be to have no debt and a million dollars in super at retirement. Three dimensionally investment thinkers generally end up to be considered wealthy and will be better off than the majority. This due to their focus being on what to achieve as opposed to what they do not want to happen.
Four dimensional thinking:
“What do I consider to be wealthy? I do not want to be poor. I want to be wealth by the time I am 60. How will is best achieve this result ”
The fourth dimensional thinker approach differs in that they will quantify what being wealthy means to them. Wealth is a relative term when compared to others and is measured in dollars. But in essence wealth is only relative to how you would like to live and your personal goals. Once you work out how much money you need to achieve your level of personal wealth the next step is to work out how to achieve this goal.
Fourth dimensional thinkers/investors may not have the most money but what they have is the right amount of money for their lifestyle and a plan of how to achieve and maintain this goal.
To be a successful investor first you need to know what it is you truly want.
Once you know this you can map out a plan to achieve your goal.